China New Borun Enlarges Customer Base in Sichuan Province

BEIJING, Feb. 17, 2011 /PRNewswire-Asia-FirstCall/ -- China New Borun Corporation (NYSE: BORN; "Borun" or the "Company"), a leading producer and distributor of corn-based edible alcohol in China, today announced that the Company has signed two letters of intent with parties in Sichuan province.  

Under the two pre-sale letters of intent, the Company expects to provide 6,500 tons edible alcohol per month starting from the second quarter of 2011 to its customers in Sichuan province, accounting for over 15% of Borun's expanded total production capacity in 2011. This strategic win helps to further expand the Company's customer base in Sichuan province, the largest Baijiu production base in China. With these two newly signed letters of intent, the Company has secured letters of intent totaling over 90% of its total edible alcohol production capacity in 2011.

Mr. Jinmiao Wang, Chairman and Chief Executive Officer of Borun, commented, "We are very pleased with the strong momentum in our pre-sale wins. Riding on the strength of our leading brand and technical superiority, as well as the growing Baijiu market in China, we continue to witness strong demand for edible alcohol.  With these additional wins, we are very confident that we can sell all of our additional capacity when our Phase III plant reaches full production capacity in the coming months."

About China New Borun Corporation

China New Borun Corporation (NYSE: BORN) is a leading producer and distributor of corn-based edible alcohol in China.  Borun's edible alcohol products are primarily sold as an ingredient to producers of baijiu, a popular grain-based alcoholic beverage that is sold throughout China in retail stores, restaurants and bars. The Company also produces DDGS Feed, Corn Germ, crude corn oil and liquid carbon dioxide as by-products of edible alcohol production.  China New Borun is based in Shouguang, Shandong Province. Additional information about the company can be found at http://www.chinanewborun.com and in documents filed with the U.S. Securities and Exchange Commission, which are available on the SEC's website at www.sec.gov.

Forward-looking Statements

All statements included in this press release, other than statements or characterizations of historical fact, are forward-looking statements. These forward-looking statements are based on our current expectations, estimates and projections about our products, industry and business, management's beliefs, and certain assumptions made by us, all of which are subject to change. Forward-looking statements can often be identified by words such as "anticipates," "expects," "intends," "plans," "predicts," "believes," "seeks," "estimates," "may," "will," "should," "would," "could," "potential," "continue," "ongoing," similar expressions, and variations or negatives of these words. These forward-looking statements are not guarantees of future results and are subject to risks, uncertainties and assumptions that could cause our actual results to differ materially and adversely from those expressed in any forward-looking statement. Factors that could cause actual results to differ materially include risks and uncertainties, including but not limited to, the possibility that the customers may not perform their obligations under the pre-sale letters of intent and other risks identified in the Company's SEC filings. Actual results, events and performance may differ materially from those presented herein. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. The Company undertakes no obligation to update these forward-looking statements as a result of events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.

SOURCE China New Borun Corporation

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